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The Financial Services Agency of Japan plans to classify crypto assets as financial products similar to securities and will announce a system reform policy in June this year

ChainCatcher news, according to Nikkei, the Financial Services Agency of Japan has begun to consider positioning crypto assets as financial products similar to securities, with the aim of requiring companies to disclose more detailed information to protect investors. Currently, the agency is holding closed-door study meetings with experts to review whether the current regulation of virtual currencies is sufficient.It is reported that the Financial Services Agency of Japan has begun to design a system, which will announce the system reform policy in June this year, and after discussions at the Financial System Council this autumn, will amend the law at the regular Diet session in 2026. The new system also aims to lift the ban on "Bitcoin spot ETFs" and may reduce the current tax rate of up to 55% to 20%, the same as the financial income tax rate, in order to both protect investors and revitalize the market. An important question raised for the future is whether the target is all crypto assets or only those that have been approved as ETFs in the United States, such as Bitcoin and Ethereum.Bloomberg recently reported that "the expert study group established by the Financial Services Agency of Japan generally agrees that cryptocurrencies are beginning to be positioned as investment targets," which seems to be a response to the U.S. SEC's approval of Bitcoin spot ETFs and Ethereum spot ETFs, as well as the Trump administration's support for the crypto industry.

Viewpoint: The dilemma of high valuations in cryptocurrency projects may persist until this summer, and new projects will face a decline of over 80% upon launch

ChainCatcher news, crypto blogger AB Kuai.Dong pointed out that the current crypto market is generally facing a liquidity shortage issue, except for Bitcoin. Many projects are forced to issue tokens at high prices due to overvaluation in the last round, in order to avoid early investors' rights protection. It is expected that new projects launched this year may face a decline of over 80%, with a $2 billion initial offering potentially dropping to $300 million, and a $700 million project possibly falling below $100 million. Projects with a market cap below $100 million that have not opened TGE node sales and public offerings face relatively less pressure, and this phenomenon may continue until the summer of 2025.Analysis indicates that not only retail investors but also institutions and node purchasers are adopting short-selling strategies for hedging after new coins are launched. The crypto VC industry may undergo a restructuring from the second half of 2025 to 2026. Influenced by the excessive returns of 2020-2021, a large influx of funds has led to investment managers' salaries rising to over $5,000 per month. As five-year funds are about to expire, some funds may be unable to complete a new round of fundraising due to investment returns falling short of expectations, leading to potential large-scale layoffs and salary cuts in the industry.

Zhao Changpeng: It is unclear whether TST will be listed on Binance, and I have not participated in the listing process

ChainCatcher message, Binance founder Zhao Changpeng posted on X platform stating, "TST has been listed on Binance. A few thoughts:Zhao Changpeng talked about the "fundamentals," and then mentioned the transition from test tokens to meme coins. I posted to clarify that TST has not received my/our endorsement. It is merely a test token used in the video tutorial. But for whatever reason, every clarification post makes it even more popular.Is Zhao Changpeng deviating from fundamentals? No. I am a builder. I always focus on fundamentals.Does Zhao Changpeng "like" meme coins now? It depends on your definition of "like." So far, I have not bought a single meme coin.So, does Zhao Changpeng oppose meme coins? No. Not "liking" something does not mean I oppose it. I don’t like sports cars; I don’t collect art; I have never bought any NFTs; I also haven’t bought most altcoins (I hold BTC and BNB). But I do not oppose any of the above. I think most of you would agree that I work hard and "do my best" to help many altcoins and the entire crypto industry. I hold the same view towards meme coins.Why is TST listed on Binance? I’m not quite sure. I had no involvement in their listing process. Based on historical experience, people always complain, "Why did you list this, but not the token I hold?" You may not like to hear this, but the fact is: exchanges must compete to list popular tokens early (with trading volume). If your token is actively sought after by traders, you don’t need to talk to the exchange. As I often say, focus on your project, not the exchange.Why do people buy memes instead of utility tokens? I don’t know, but I’m willing to take some guesses (pun intended). Over the past four years, a strong regulatory body has prosecuted almost everyone with utility tokens, falsely claiming they are securities. Therefore, people started launching memes. There is a class of traders known as speculators. Things with clear tangible value are harder to speculate on. They hover around clear value. This is indeed a challenge for RWAs. For example, a building with little value fluctuation may not have much trading activity. Thus, it won’t have much liquidity, the order book becomes thin, and then trading activity decreases, creating a vicious cycle. Memes are fun, etc. This is a cultural issue. I am not an expert in this area. There are many staunch defenders of memes. Don’t go against the community.Finally, it is clear that there is a lot of capital available for investment in the market. There are many opportunities. You need to create what people want."
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